SAPNRG (Not Rated)

• Amidst yesterday’s market-wide sell-off, SAPNRG emerged as the most heavily traded stock with 108.7m shares exchanging hands. The share closed 3.5 sen (6.4%) lower at RM0.51.
• The share appears to be in consolidation ever since bottoming-out mid-last month. And while its underlying trend still remains negative, indicators have started to show signs of improvement with the MACD currently in a mild uptrend.
• Keen investors may look forward to collect near strong support of RM0.395 (S1). That said, a decisive break below it, although unlikely, would be highly negative.
• Should the current rebound play materialise, expect lucrative gains with resistance identified high up at RM0.68 (R1) and RM0.86 (R2).

UMWOG (Not Rated)

• UMWOG, another oil and gas counter, was the fourth most traded stock yesterday with 58.8m shares exchanging hands. It closed 2.5 sen (-8.1%) down at RM0.285.
• While the stock currently appears to be in a sideways trend, yesterday’s move has brought it closer towards its low of RM0.270, where it had proven to be a resilient support from previous encounters.
• That said, however, technical indicators are still fairly mixed at this juncture.
• From here, keen investors could start nibbling given the strong support at RM0.270 (S1).
• Should a rebound materialise, resistances can be identified at RM0.365 (R1) and RM0.425 (R2).

Source: Kenanga Research - 5 Apr 2018